“…A Sacramento Bee headline from late October, âHow liberal politics, COVID-19 and a high cost of living are fueling a new California exodus,â could have been written, without the virus reference, a year ago. Or ten years ago. The flight from California kicked off long before this yearâs pandemic.
Eight years ago, an Investorâs Business Daily editorial laid out the reasons Californians were moving âTo Texas (And Arizona And Nevada),â all of them fueled by progressive public policy. That same year, a Manhattan Institute report detailed âthe great ongoing California exodus . . . reversing the storied passages of the Dust Bowl era.â The authors attributed the mass departure to policy decisions making the state a less desirable place to live. Two years earlier, in 2010, New Geography asked: âIf California Is Doing So Great, Why Are So Many Leaving?â and noted that the stateâs âdomestic migration has been negative every year since at least 1990.â
Nor is the California exodus limited to desperate residents. Joe Vranich, a relocation specialist once headquartered in Irvine, California, but now settled in Pennsylvania, has been tracking business departures since 2008. Vranich says that he became âirritated by repeated comments from California politicians, including governor Jerry Brown, that business departures . . . were not a big deal.â As he analyzed the companies, jobs, and capital fleeing the state, he realized the drain was significant. The stateâs toxic business environment, Vranich estimates, caused as many as 13,000 âdisinvestment eventsâ from 2008 to 2016.
Data-analytics software company Palantir is among the firms to announce more recently that it is leaving California. CNBCÂ characterized its decision to relocate from Palo Alto to Denver as âone of the first signals that a long-anticipated exodus from Silicon Valley is on the horizon.â Hewlett-Packard, a garage-band Silicon Valley original, recently announced that it would move its global headquarters to Texas, seeking âopportunities for cost savings,â while accommodating âteam membersâ preferences about the future of work.â…”